Seriously? Do people really have no understanding of economics? Education standards in this country have really gone down, if so. The thing is, most tourist attractions are non-profit in and of themselves, or have a very low profit margin. I imagine places like the Baclayon Church or even the Chocolate Hills, for example, barely make enough to cover their expenses, even with donations. The reason why sites like these stay alive even though they are bleeding red is because of the impact they have on the local economy. It's why people in the US were worried by the closure of the National Parks during the gov't shutdown: while the parks themselves don't earn the money directly, they boost the local economy by their mere presence. Tourists come to visit because the attraction (be it a park or a historical building) then spend their money on the local businesses that cater to them: tour companies, hotels & restaurants, souvenir shops, etc. These tourist spots generate huge passive income. Without the local attractions (eg. the 17th century churches etc.), tourists would stop coming and the local economy would suffer as a result. That's why the Philippine government is choosing to spend on the reconstruction of these historic and cultural sites -- they are counting on a return of investment. It's a simple fact of economics that in order to make money, you need to first spend money.
Speaking of which, I just saw on the news that people were complaining about Noynoy's trip to South Korea, saying he should stay in the country because of the recent tragedy and that the money for airfare & hotel stays, etc. should be given to the victims. Let me make myself clear: I'm not a fan of Pnoy (in fact, I affectionately call him our Idiot-in-Chief), but this is exactly what a president is supposed to do. What can he do for the disaster if stayed behind? Pick up a shovel and dig through the rubble? What can he do that our implementing agencies -- whose job it is to deal with just such disasters -- can't do better? That's why I was so angry about him staying in Zamboanga during the MNLF siege -- he had no business being there. He should have just visited for a short while, then left the generals to do their jobs. With this Korea trip, Noynoy is finally doing what a president should. As for the cost of the trip, it's an investment that the country is making in exchange for returns in the form of stronger diplomatic and trade relations. So, it makes sense for Pnoy to visit other countries. After all, the fast growing BPO industry in the RP (which I'm sure many iStoryans are working in) is a direct result of past and present presidents forging strong ties with other nations through similar state visits. Filipinos need to stop thinking like the Sick Man of Asia and start thinking of long-term investments.
Anyway, I guess that's enough of the economics primer.
